Smiths, the Australian snack food manufacturer, is suing rival manufacturer Arnott’s Biscuits, arguing that its Kettle Chips are not hand-cooked despite the product’s claims.
Smiths believes that Arnott’s chips are cooked by a mechanised process and claim that the company is misleading consumers and guilty of deceptive labelling. Arnott’s said that Smiths’ actions are merely part of its own campaign to damage its rivals. Smiths’ campaign has been intensive, say Arnott’s, including even offering discounted products to shops who agree not to stock Kettle Chips.
At the court hearing, judges have already struck out several of Arnott’s grounds for defence in the interests of avoiding delays.